Exceeding $57k 401k limit between 2 employers?

Oct 8, 2020 9 Comments

In 2020, I contributed $19.5k to a pre-tax 401k with Employer A.

I left Employer A and rolled the plan over to my new Employer B.

Fidelity is now telling me it’s okay to contribute an entirely separate $57k after-tax to a 401k with Employer B. (For a total 2020 contribution of $19.5k + $57k = $76.5k).

Fidelity claims as long as I don’t exceed the $19.5k limit for pre-tax/Roth between the two employers, it’s okay to max out the rest of the $57k after-tax limit twice, once at each employer. (So theoretically I could contribute $57k after-tax at two employers within the same year, for a total annual contribution of $114k).

This sounds like BS. Is it true or Fidelity doesn’t know what they’re talking about?

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